Federal Inaction on Cannabis Exports May Cost U.S. Economy $10 Billion Annually

LOS ANGELES- The United States’ federal stance on cannabis exports is potentially costing the economy up to $10 billion each year, according to industry analyses. While domestic cannabis sales are projected to reach $35.3 billion in 2025, the absence of federal legalization restricts U.S. producers from accessing the growing global market.

Countries like Canada, Germany, and Australia have established frameworks for cannabis exports, allowing their domestic industries to tap into international demand. In contrast, U.S. cannabis businesses face federal restrictions that limit their operations to state boundaries, preventing participation in the global market.

The lack of federal legalization not only hinders export opportunities but also complicates financial operations for cannabis businesses. Without access to traditional banking services, these companies often operate on a cash basis, increasing operational risks and limiting growth potential.

Advocates for federal reform argue that aligning U.S. policies with international standards could unlock significant economic benefits. By enabling exports, the U.S. cannabis industry could contribute more substantially to the national economy and compete effectively in the global market.

As the global cannabis market continues to expand, the U.S. faces a strategic decision: maintain the current federal restrictions or adapt policies to support domestic businesses in accessing international opportunities.